The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1887-06-22
THE WESTERN STATES.

| day the chicago Board OF lrade mas ever
seen. The powerful wheat clique which has
mystified and perplexad the speculative world
| for over three months collapsed and left its
! principals bankrupt Two old and we'll
known commission firms-M Rosenfeld & Co,
| and Hamill & Brine-were carried down with
| the wreck, and dozens Of others are
left lettering on the verge OF ruiz
| The two firms named lose upward of
| S2,000,000 The total break for the day was
| 1870, and, without exception, was the greatest
| drop in wheat ever known. The market
opened for June wheat at g9Ac, being the
closing of the day previous, while july opened
at $3.50. June dropped lie at jump until
a &c decline had taken place. when all hands
took hold, and it recovered Sc, where it stood
for little while; then some holders began to
feel shaky and sell small lots, dropping the
price slowly but surely, until whispers of the
weakness of Rosenfeld foated through the
air, when a scramble to get from under took
| place, and turned into a general stampede
when the general announcement was made.
| Chicago paper thus recites the history of this
| great corner:
Ever since last April there has been SYM
dica:e OF capitalists which has sought TO run a
with tho May option. and when delivery day
came around several million bushels were
dumped into the laps Of the brokers repre-
sentatiyes OF this clique. Maurice Rosenfeld
Co. G.. kershaw 90, Irwin Green 81 Co.,
were looked upon the agents employed To
handle the business for the syndicate;
millions Of bushels Of wheat were
bought to keep up this option. Prices
advanced, and the shorts laughed at
the idea Of any clique attempting to corner the
grain Of the Northwest the market OF tho world.
When June delivery day arrived the clique bro
hers took oil the grain that was offered 20 them
OF course margins were in demand, and the
banks were called upon TO make advances on
the grain in store. These advances were based
upon price not exceeding GO cents per bushel
but il locked up millions OF dollars in the bust
ness As June advanced the clique
that they had undertaken to move a
mountain, and they used every effort TO
prevent the arrival of the great crops OF
wheat from Dakota corner in storage
effected and the railroads were blocked. Road
after road served notice that more wheat
would be shipped to Chicago This brought
the shorts 70 the front with IA vengeance. There
are $50 members of the Board OF Trade About
5Ol OF these are con-combatants OF the
naming ,46o about ], lJJ trade in wheat, and Of
these 200 not more than 20 the bull side
OF the deal The other /. 200 what are known
shorts. They more or less small dealers
and do a commission business. Their custom
| ers in the Northwest seeipg tie market going
up and prices high ordered them to sell the
stuff, being well aware that they could not
hope TO get much better price for their
customers began to write letters expostulating
with their agents for not pushing the matter
These shorts then went to the directors and
made complaints, and the result WAS that the
directors took up the matter and determined to
crush out the clique in so far as the corner in
storage and blocking of the railroads was con-
cerned The farmers and shippers throughout
the Northwest were advised that they could de-
mand that the railroads should take their grain
for shipment t. Chicago. The railroads. seeing
| that the war was liable to hurt them began to
cry. out, and the result was that the syndicate
took fright
The second day of the troubles on the
| Chicago Board of Trade resulted in the
failure of fifteen firms and the utter
collapse of the corner in wheat
! Tue sday's drop in wheat of 10 cents was fol-
| lowed up by further break of 6l% cents on
Wednesday, from which there was but an in
| significant rally at the close. Seventeen firms
were posted for failure TO settle margins, and
while it is an utter impossibility TO arrive at
anything definite in the matter of liabilities
of the stricken houses, it is safe to
say that over twenty million bushels
are involved, and that the loss on
this immense block is not less than
100000. This makes total Of $1,000, 900
in two days Among the collapsed firms are
such as c. j. Kershaw 4 Co., Crosby & Co.,
Grgg, Son & Co.. S. ID. Eldredge & Co., J. A.
Edwards l. Co, Hord Bros. & Co., T. T. Bald
win & Co, ]. IL Yourt & Co., B. J. McCleary
& Co., s. c. Orr, NJ. b, Crafts & Co, Picker
ing x Co, IL j. Sheldon, IL X Matthews,
Hibbard & Co., NJ. S. Robinson & Co. and
Yourt & Brearly. The Tribune of Thursday
says editorially:
The standard grade OF wheat for delivery
during the current month sold yesterday in
this market for 60 cents per bushel. This is
the lowest point touched in Chicago since
the year 1862 and il was reached only by vir-
| tue OF a decline which must have been ter
| rible one to the unfortunate holders. The drop
OF the present week amounts to about % cents
| per bushel, which entails loss of about
| s36oJ,OOO in the selling value of the wheat
| in store to say nothing Of the
spending shrinkage on an untold number OF
| millions of bushels that bad been bought for
de livery this month and smaller decline in
| longer futures. The break carried the market
| down to about the figure allowed by the banks
| to the parties who borrowed money on the
property and this fact induced good buying by
| men who think il must be worth at least that
much. In other words, there is pretty good
reason to believe that the storm is over,
| though the commercial atmosphere will be
unsettled for some time to come, and it will be
| several DAYS before all the wrecks cleared
away. And the list OF those wrecks is long
| one.
CHICAGO had four big fires on Friday and
twenty minor ones. Two were in the lumber
| yards, one in a foundry, and the fourth
large one in the air The blaze in the at
mosphere probably did more damage than
the other three, and it gave the hremen
nearly as much trouble Simply standing
in the sun was enough TO make n mans face
look like piece of boiled ham, but with
mixture Of sweat and dust on his features he
wore the air of ruined pie. The hottest day
OF the year was the hottest in this years cal
ehdsr Of the Fire Department. Alarms were
sent in from twenty-four boxer, and included
three second alarms, three third alarms, and
a special call for ten engines Thirty-three
engines and the two fre-boats were called out,
nearly the entire force Of the department
The steamer Champlsin, bound for Cheboy-
gan from Chicago, was burned on Friday
morning between Norwood and Charlevo x,
at the mouth Of Grand Traverse Bay. The
flames suddenly shot up from beneath the en-
| CINE, driving the engineer from hs post with
his clothes on fire. He plunged into tank
and then returned 10 the engine-room, but
was too late to stop his engine or